Reselling or leasing aircraft

To purchase an aircraft exempt from the 2% Aircraft Sales and Use Tax for the purpose of reselling it, a party must be engaged in the business of manufacturing, distributing, or selling aircraft. This party must also make application to the Department of Taxation and receive approval prior to operation of the aircraft under the “dealer exclusion”.

Under the “dealer exclusion”, a 2% tax will be remitted to the Department of Taxation on the monthly gross receipts.